Imports for July, the latest month for which data is available, were higher than in July 2023 – the second consecutive month of growth compared to the previous year. Import volumes grew by 0.5% in June 2024, followed by 2.9% in July. As a result, the deficit of import volumes in 2024 compared to 2023 continues to reduce.
Considering that the market saw comparatively weaker import volumes during the second half of 2023, if even modest improvements continue during the second half of 2024, we will likely see total import volumes for the year moving ahead of 2023.
The overall deficit of January to July 2024 import volumes of the main timber and panel products remain 2.8% lower compared to the first seven months of 2023. Solid wood imports were 1.7% lower, with panel product imports 4.8% lower.
Improved volumes of softwood, particleboard and OSB have been largely responsible for reducing the deficit, with softwood imports by the end of July 2024 just 1% behind the volume of the seven months to July 2023.
The value of softwood imports in the first seven months of 2024 was 3.4% lower than over the same period in 2023. This overall decline in value of 3.4% was caused by the 1.3% reduction in volume coupled with a 2.1% fall in the average price of the basket of softwood imports. The value of planed softwood was 1.5% lower compared to 2023, with the value of sawn goods being 5.3% lower.
The National Softwood Division (NSD) has also issued its forecast for 2024 and 2025, believing that import volumes will remain subdued in 2024, falling to around 5.6 million m3 before a 5% recovery forecast for 2025 to reach a level of around 5.9 million m3. UK softwood imports in 2024 are predicted to be 2.6% lower than in 2023.
“It’s encouraging to see a continued fall in the timber import deficit for 2024 when compared to the first seven months of 2023," says TDUK Head of Technical and Trade, Nick Boulton. "While it’s still too early to have a clear idea of second half wood imports, the optimism for increased private housing and RMI in 2025 is certainly encouraging businesses to maintain their wood stocks through regular imports rather than letting them fall further. While our NSD forecast is probably a realistic reflection of current construction levels, the thought of better times ahead may encourage some additional imports as we head to year end.
“The new Government is still continuing to push ahead on its pledge to improve housebuilding starts across Britain, pledging at the recent Labour Party Conference to build 1.5 million new homes within five years. If this can be achieved it will certainly be a boost for the timber industry, for which new timber frame houses are a key source of demand, but it remains to be seen whether or not this challenging pledge can be achieved.
“We look forward to working with the Government to tackle the challenges that stand in the way of this achievement and believe that mass timber building can help the entire country achieve its housebuilding and economic goals.”
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